Your company purchases $50,000 of inventory from a wholesaler who allows you 45 days to pay.In addition,the wholesaler offers a 3% discount if payment is made within 12 days.These payment terms would be expressed as:

Question

Quizplus · Accepted Answer

The payment terms are expressed as "3/12, n/45," meaning a 3% discount is available if paid within 12 days, otherwise the net amount is due in 45 days.

Your Company Purchases $50,000 of Inventory from a Wholesaler Who